Well, they were going to have to cave at some point. Over the last few weeks, we have been noting the fact that even though the S&P 500 has been hitting record high after record high this month, individual investors were very reluctant to put themselves in the bullish camp. That started to change this week as bullish sentiment among individual investors rose to its highest level of 2014.
According to the weekly sentiment survey from the American Association of Individual Investors (AAII), bullish sentiment increased from 39.51% to 44.69%. This was the largest one-week increase since late April, and the highest level of actual bullish sentiment since the last week of 2013. Increases in bullish sentiment are generally considered to be a contrarian bullish signal, but with bulls still not yet in the majority, sentiment has not yet reached extreme levels.
Here's your chance to celebrate the start of the summer season with Bespoke! This week we're running a 10% discount on our premium content subscriptions. Just enter the word "summer" in the coupon code section of our Subscribe page to receive the discounted rate for the life of your membership. Sign up today to take advantage of our five-day free trial and start receiving our timely market analysis.